A Continuation Pattern Is a Pattern Where

question 92

Multiple Choice

A continuation pattern is a pattern where

• A) the primary and the secondary trend signal the same movement.
• B) the upper and lower Bollinger bands maintain a distance of 4 standard deviations apart.
• C) the 12-day and 26-day moving averages converge.
• D) the head-and-shoulders pattern indicates a false breakout.
• E) the price of a stock is expected to continue along its main direction.

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Definitions:

Dollar Voting

A concept where consumers express their preferences and influence market outcomes through their spending decisions, essentially "voting" with their dollars.

Competitive Markets

Markets characterized by a large number of buyers and sellers where no single entity has significant market power, leading to efficient distribution of goods and services.

Public Good Preferences

The collective desire or inclination of a society towards goods or services that are non-excludable and non-rivalrous, benefiting all members of the society.

Government Failure

Occurs when government intervention in the economy causes more harm than good, leading to inefficient allocation of resources or failing to achieve desired policy outcomes.